Compared to South Carolina, Tennessee politics aren’t that bad. However, the announcement of Bruce Pearl, head basketball coach for the University of Tennessee, endorsing Bill Haslam for governor seems inappropriate at best.
The head basketball coach endorsing a candidate from the family that collectively serves as single biggest donor in the history of the University certainly has the appearance of quid pro quo. I’m in no way accusing wrong-doing here, but it looks suspicious.
Pearl is an extremely popular figure, especially in East Tennessee. Since arriving at UT in 2005, he’s worked a miracle with our men’s basketball team. Prior to his tenure, men’s basketball was viewed as hopeless. In order for Bill Haslam to win the nomination, his support is going to have to turn out in East Tennessee. It’s also the only part of the state where he has high name ID.
The Haslam family’s relationship to the University is too close for one of its high-profile leaders to make an endorsement. This should be seriously questioned. However, the Knoxville media has a long-history of looking the other way when UT does something wrong.
For those outside of Knoxville, the Haslam family essentially runs everything in the area. They own Pilot Travel Centers, the chain of gas stations and convenience stores in the Southeast. Given their vast oil fortune, they’ve made considerable philanthropic donations in the Knoxville area. By all accounts, the family is very generous and philanthropic. Close friends of mine have worked for Pilot and attest that it is a good, family company.
When I volunteered or interned for various nonprofits in college, the general attitude was not to do anything that upset Daddy Haslam, as James Haslam, II is known. The same friends, who were former Pilot employees, also quickly jumped on the Bill Haslam for Governor bandwagon, explaining that the company wouldn’t look fondly on employees supporting another candidate.
The Haslam family is also very Republican. Bill Haslam is currently mayor of Knoxville and is running against Congressman Zach Wamp.
My dislike of self-funding candidates is noted here, and Bill Haslam is about as self-funded as you can get.
Why is it questionable that Pearl endorsed Bill Haslam?
The Haslam family is the single largest donor in University of Tennessee history. In recent years (I believe it was 2007), they gave an unprecedented $32.5 million to the University with 30% going directly to the athletic department. Since Haslam is the only gubernatorial candidate who refuses to release his tax records, this endorsement appears questionable.
The overall gifts of the Haslam family can be tracked, but since Bill Haslam won’t release his financial records, there is no way of proving that this endorsement is not in return for donations. The donations that are on the record paint a very cozy picture between the Haslams and the UT Athletic Department and the larger University system.
Daddy Haslam served as a Trustee of the University of Tennessee system for decades. He is also the chairman of executive committee for the UT Athletics Board, the body that directly oversees Coach Pearl. University athletic departments are notoriously secretive about donations, so it is impossible to know exactly who and how much in the Haslam family has contributed over the years.
According to current records, Daddy Haslam and his son, James A. “Jimmy” Haslam III (president of Pilot) are members of the Torchbearer Society, the elite group of donors who have given more than $10 million. Two family-operated foundations also contribute to the University: the Haslam Family Foundation, which is listed as donating between $5 million and $10 million, and the Haslam 3 Foundation, which gave between $100,000-$500,000. Jimmy Haslam and his wife, Dee, also established the Haslam Scholars program.
Per their IRS 990s, Bill Haslam is a director of the Haslam Family Foundation. In2008(the latest year a 990 is available), the Haslam Family Foundation gave the University nearly $1.2 million. As a director of the foundation, he would have signed off on that contribution.
Shouldn’t it raise eyebrows when Bruce Pearl, a direct beneficiary of this family through his job at the University, endorses one of the sons? Remember that enormous gift of $32.5 milion? The chunk of change from Daddy Haslam alone gave $9.2 million to the athletic department, which in turn pays Bruce Pearl’s salary of $2.4 million each year.
It could be argued that all of this is Daddy Haslam and brother Jimmy. Knoxville is a smaller city. Prominent people always know each other. There is not necessarily quid pro quo in this situation.
However, Bill Haslam hasn’t operated a transparent campaign. He should release his tax records, which contain a paper trail of his charitable giving. If there was no wrong-doing, they would clearly exonerate him from any misgivings or inappropriate endorsements earned through high dollar donations to the University.
The UT Athletic Department also doesn’t have the best reputation. The football program is currently under investigation from the NCAA for recruiting violations. Like most major athletic universities, rumors have always churned about less-than-honorable activities.
Given Haslam’s reluctance to run a transparent campaign and a long history of questionable actions by the University of Tennessee Athletic Department, shouldn’t this endorsement be questioned?